Perth Property Market updates

[WesternRat]

went to a few home opens last weekend in my market (2bedders in complex of 4 to 8). one property had more than 10 groups through, with 2 or 3 lining up to place an offer.

the others had next to no one through.

not sure what was so special about the first one - daggy, cramped inside, dated interior, only thing going for it was a large outside area as it was the end unit. must've been priced right for the land area...

 

[mrdobalina]

Anyone demolishing houses, forget renting.... fees going up 40% right???

I will be stuck with this when I demolish a property next year, anyone else????

Tip fees going up. I managed to squeeze a demo in which finished last week. Cost was increased by an extra $1k from original quote. Demo company was so busy they said take it or leave it.

 

[westminster]

Yes you are right .... damn it it is not the end of the world.

I just paid $18K for my recent demo, if infact it does go up 40% that's an additional $7200. Does tick me off that it has gone up so much if this is correct, that's massive. If you have 3 projects on the go it will add up, that could be my trip to London next year

City of Vincent don't let you demolish without DA approval so I couldn't bring forward any demolitions to be this year.

As my one in a poor state is a rezoner it won't be getting DA for awhile so I needed a solution to keep it from being vandalised etc.

 

[INVSTOR]

went to a few home opens last weekend in my market (2bedders in complex of 4 to 8). one property had more than 10 groups through, with 2 or 3 lining up to place an offer.

the others had next to no one through.

not sure what was so special about the first one - daggy, cramped inside, dated interior, only thing going for it was a large outside area as it was the end unit. must've been priced right for the land area...

Are you able to give more details? Curious as I'm contemplating selling a 3 bed villa in complex of 8 next year.

 

[INVSTOR]

Good news is that I managed to get a tenant for the North Perth property I was struggling to get anyone into. Ended up accepting a 13mth (so not Christmas) at $680pw. They moved in a few days ago.

I also tenanted my other North Perth site for a mere $200 pw. I wasn't going to tenant it as it's in such a poor state however I couldn't demolish it yet and I didn't want it vacant causing anti social problems for the neighbours so I put an ad in the Gumtree and saying that it could be rented 'as is' and would be perfect for a tradie who wanted to fix up anything to the level of comfort they wished. In a complete deja vu moment, my tenant is an AFS Logicwall installer who posts on here who's moved over from Sydney.

Just when I thought my tough year was at an end I got a break lease request two days ago due to financial hardship. I think I'll work with them to reduce rent to affordable level.

 

[Demoivre]

Just when I thought my tough year was at an end I got a break lease request two days ago due to financial hardship. I think I'll work with them to reduce rent to affordable level.

It's strange. With me I had a rent increase which tenants comfortably accepted

 

[Freckle]

Vics hurting as are other states I'm guessing if this is anything to go by...

According to new figures from the Essential Services Commission, more than 34,000 people were cut off from their electricity supply during the last financial year because they were unable to pay their bills.

Around 24,000 people had their gas disconnected, marking a 26 per cent increase on the previous year.

There had also been a 38 per cent increase in the number of people accessing hardship programs offered by retailers.

Source
​

..those dreaming of rent increases might find that more challenging as economic markers continue to deteriorate.

 

[MTR]

City of Vincent don't let you demolish without DA approval so I couldn't bring forward any demolitions to be this year.

As my one in a poor state is a rezoner it won't be getting DA for awhile so I needed a solution to keep it from being vandalised etc.

Absolutely right to rent it out.

There was an old block of units on Harold Street, vacant for years, locals continually complained as undesirables squatting for years. It only now they have almost completed a swanky apartment project.

MTR

 

[MTR]

Vics hurting as are other states I'm guessing if this is anything to go by...

According to new figures from the Essential Services Commission, more than 34,000 people were cut off from their electricity supply during the last financial year because they were unable to pay their bills.

Around 24,000 people had their gas disconnected, marking a 26 per cent increase on the previous year.

There had also been a 38 per cent increase in the number of people accessing hardship programs offered by retailers.

Source
​

..those dreaming of rent increases might find that more challenging as economic markers continue to deteriorate.

The Melb property market is still quite strong, I expect it may slow down next year but investors have been making some great gains. Rental returns have also been a lot lower in Melb than Perth, but then building is far cheaper, as a developer its still a very attractive market.

 

[Alex P Keaton]

I've just temporarily moved one street from the river. My kids bikes that have sat around for the past two years are now being used daily. There is something nice about bike riding along the river - nice seeing heaps of varieties of birds, pelicans, ducks. Seeing dolphins is nice also, even watching fish jump. It's great the kids are outdoors and being active. Possibly living in a small house rather than large comfortable house helps! Nice parkland close by is great also. Gives the area a lot of community feel! It is amazing what a different lifestyle you can have living in a different suburb.
Looking forward to trying out the canoe's in the Xmas break!

What suburb are you in? I can't wait to move back to Highgate, I'm very close to the river too and absolutely love it. A nice little 15 minute bike ride commute to my workplace in in East Perth along the river, it's lovely. I'll be moving back end of February.

You can't beat the lifestyle eh!

 

[MTR]

Just when I thought my tough year was at an end I got a break lease request two days ago due to financial hardship. I think I'll work with them to reduce rent to affordable level.

Time of the year and with drop in rental market I would think working with them would provide best outcome hopefully, shame though

 

[INVSTOR]

It's strange. With me I had a rent increase which tenants comfortably accepted

I guess it may have been under market rent?
Thinking about it more, my circumstances are in part a result of not well thought out WA State Govt revenue changes coming in next year.

 

[Alex P Keaton]

Good news is that I managed to get a tenant for the North Perth property I was struggling to get anyone into. Ended up accepting a 13mth (so not Christmas) at $680pw. They moved in a few days ago.

That's good news.

My tenants are moving in the day before Christmas, do you think it would be wise for me to sign them for a 13 month lease so if/when the property gets released it will be easier to find someone at the end of January rather than Christmas eve?

I have to also take into account PM offices close down over the Christmas new years break which will mean my property may lay vacant for a while.

 

[Alex P Keaton]

It's not a good time for your ip to become vacant in Perth that's for sure.

My Dianella tenant has given her 21 days notice & will be moving out January 9. She is paying $290 pw. I'll have to reduce that to $270 pw. Plus it will be advertised this Monday and my PM will be closed from Dec 25th - Jan 5. Ouch!

I'm glad I paid off my Hecs now. I'll have an extra $100 per fortnight in my pay now so that will help to offset my $20 decrease in rent.

 

[INVSTOR]

What suburb are you in? I can't wait to move back to Highgate, I'm very close to the river too and absolutely love it. A nice little 15 minute bike ride commute to my workplace in in East Perth along the river, it's lovely. I'll be moving back end of February.

You can't beat the lifestyle eh!

We are at Ashfield at the moment. We live across the road from a park that has just been rejuvenated. My son had a couple of friends over last night. I could hear them in the distance on the swings having a ball while my hubby took my daughter for a bit of father/daughter time fishing. The yard is nearly 1600sqm so the boys had a lot of fun running around with their Nerf guns. It's a great spot. Will be here for a few months while looking for another home closer to beach and kids schools. We might move back when kids finish high school. Trying out canoes today!

 

[INVSTOR]

That's good news.

My tenants are moving in the day before Christmas, do you think it would be wise for me to sign them for a 13 month lease so if/when the property gets released it will be easier to find someone at the end of January rather than Christmas eve?

I have to also take into account PM offices close down over the Christmas new years break which will mean my property may lay vacant for a while.

Yes, certainly 13 month lease. I've done a bit of research in past few days, lots of properties 'available now' and around the 5th Jan. Some people are advertising properties at the rate they were getting two years ago down to (depending on suburb) $50 - $100/week cheaper. I've got a fair idea which ones will still be advertising in a couple of months time. Well worth being realistic from beginning that there is a lot of competition and rents are dropping.

 

[Alex P Keaton]

We are at Ashfield at the moment. We live across the road from a park that has just been rejuvenated. My son had a couple of friends over last night. I could hear them in the distance on the swings having a ball while my hubby took my daughter for a bit of father/daughter time fishing. The yard is nearly 1600sqm so the boys had a lot of fun running around with their Nerf guns. It's a great spot. Will be here for a few months while looking for another home closer to beach and kids schools. We might move back when kids finish high school. Trying out canoes today!

Cool! have fun. I plan to chuck my bike in the back of my sports wagon and go for a river ride this arvo.

It's all about compromise isn't it! And what's most important to you! Smaller house but closer to beach river/cbd, or larger house but further away.

For me my compromise will be a financial one. It's far more affordable living here with mum and dad but its a lifestyle decision for me to move back to my unit/ppor in Highgate. I need my own space. I'm set up now! have a decent cash buffer, paid for my 2 year old car in cash and will be pretty financially comfortable living by myself again. Also bought another IP whilst staying here. YOLO is my motto now. It's time!

 

[Alex P Keaton]

Yes, certainly 13 month lease. I've done a bit of research in past few days, lots of properties 'available now' and around the 5th Jan. Some people are advertising properties at the rate they were getting two years ago down to (depending on suburb) $50 - $100/week cheaper. I've got a fair idea which ones will still be advertising in a couple of months time. Well worth being realistic from beginning that there is a lot of competition and rents are dropping.

Yep, I'll get onto my PM in an email today! I hope the tenants go for it!

 

[WesternRat]

Are you able to give more details? Curious as I'm contemplating selling a 3 bed villa in complex of 8 next year.

not really much more info I can provide, except that the postcode is 6060.

your 3bedder in a complex of 8 sounds different; normally you find 2bedders in a complex of 8, or a newer 3bedder in a triplex layout. that said, I went to a couple of older 3bedders last week too in 6060, listed in excess of $450k

 

[INVSTOR]

not really much more info I can provide, except that the postcode is 6060.

your 3bedder in a complex of 8 sounds different; normally you find 2bedders in a complex of 8, or a newer 3bedder in a triplex layout. that said, I went to a couple of older 3bedders last week too in 6060, listed in excess of $450k

Ok, thanks, sounds like same suburb. Was it you who I spoke to previously doing a conversion from 2 bed to 3.

I think mine is worth around $450,000. There is two seperate driveways, so two groups of 4, quite separate, so i think a lot nicer than a large group.